House at impasse over FY07 budget

April 6, 2006

WASHINGTON (Reuters) – Deeply divided Republicans in the
U.S. House of Representatives were at an “impasse” over a
fiscal 2007 budget plan, forcing leaders to cancel a vote this
week on that $2.8 trillion measure, a Republican aide familiar
with the negotiations said on Thursday.

Annual budget plans do not have force of law but set broad
limits for spending bills. Without those limits, Congress might
edge into even greater deficit spending.

The Republican aide, who asked not to be identified, said
the leadership might try to craft a budget plan at the end of
April, following a two-week Spring break. But the aide added
that there were significant differences between conservatives
who want to control spending and Republican members of the
House Appropriations Committee who objected to budget reforms
that could take some power away from that committee.